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States Push Back on $2 Billion Thriving Kids Plan as Butler Denies Lack of Consultation

Key details on funding, timing, consultation remain unresolved.

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Overview

  • Canberra’s Thriving Kids program would shift children with mild-to-moderate developmental delay or autism out of the NDIS into new foundational supports, with a $2 billion commitment and rollout from July 2026 to full implementation by July 2027.
  • NSW Treasurer Daniel Mookhey said he was not consulted, Victoria’s Jacinta Allan and other state ministers said they first learned of the plan at the announcement, and NSW’s Ryan Park warned the state would not pick up the bill without detail.
  • Minister Mark Butler rejected claims states were blindsided, saying jurisdictions have been in talks for almost two years, and he pledged that children on the spectrum would not be left behind as the system is designed.
  • Ten major disability groups, including the Australian Autism Alliance and People with Disability Australia, issued a joint call for co-design, more information and continuity assurances for families already in the scheme.
  • The Australian Association of Psychologists warned the shift risks reducing access to evidence-based therapy, and experts questioned the ambitious two-year timetable and the capacity of schools and childcare settings to deliver services.